USD/CAD opened Noram markets 13056, +58 pips vs the previous close, overnight range 1.2997/3067.
- The pair staged a solid-comeback from lows near 1.29 handle on Monday, but recovery likely capped at 1.3067
- Crude prices plunged on Monday following the IEA supply forecasts, weighing heavily on the Canadian dollar, pushing USD/CAD higher
- On Tuesday, crude prices recovered some of the steep falls, with Brent futures up 1 percent in early European trade to $50.37 per barrel
- Short-term recovery attempts are likely to to run out of steam, continued trading below Ichimoku cloud top has weakened the market structure further
- USD/CAD is currently trading at 1.3062, with immediate resistance at 1.3067 (Session High Oct 13) and support at 1.2997 (Session Low Oct 13)
- Light data day today, US NFIB, weekly Redbook sales due ahead in the U.S. session
Resistance Levels:
R1: 1.3067 (Session High Oct 13)
R2: 1.3074 (Daily High Oct 8)
R3: 1.3116 (Tenkan-Sen)
Support Levels:
S1: 1.2997 (Session Low Oct 13)
S2: 1.2901 (Daily Lows Oct 9/12)
S3: 1.2900 (Psychological Level)
